Cornwall’s regional airport deal appears to be reaching its final stage

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The city council, in a close vote Tuesday night, reached V1 speed in its desire to launch the exit from the airport business, abandoning a motion that would have led to a study of the financial viability of the Cornwall Regional Airport.

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In a near-unanimous vote on a separate motion seconds earlier, he reaffirmed his earlier direction to city staff members to work to end its airport agreements with South Glengarry, which have been in place for 40 years, so so as not to turn back.

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“I’m still wondering why it’s so hard for us to sever this (airport) relationship (with South Glengarry),” Coun. Fred Ngoundjo said during a debate before the vote. “I don’t think it’s necessary to spend $35,000 on a study when we can stop a contract where we’re wasting money.”

The matter was divided into two votes; initially, a report from CAO Mathieu Fleury of Cornwall, which reaffirmed the previous direction to exit the airport business while directing the administration to issue an RFP to conduct a financial viability study of the airport.

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To several councilors, those two elements appeared to be at odds, but Fleury explained that a financial viability study was part of the process and a cautious approach to take with a neighboring community with which the city has had a long relationship with the airport – and that it would be useful during the negotiations with South Glengarry.

cone Elaine MacDonald was one of several people at the table who didn’t see the point, saying the city would spend $35,000 “on a study to prove to the people we’re moving away from that they can do it on their own. . . why would we do that?”

“The (previously indicated) board wanted out, but they haven’t figured out how to negotiate,” Fleury responded. “Negotiations must provide a picture of the operational value (side) and the land. Without the current context (including viability), it would be difficult for the city to (advance/resolve) negotiations (with South Glengarry).

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The cost of the study was an unbudgeted item to be funded from the work reserve and reimbursed to the work reserve in 2025; Fleury and the administration were looking to present a bigger picture, with Cornwall playing an important role as a hub city in the region, but at the same time being fiscally responsible.

If the recommendation had been upheld, it would have been the third airport study completed in recent years. A business plan has been presented to the council for the airport ahead of its 2021 vote to exit the business.

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In September 2017, South Glengarry and Cornwall councils met to discuss a report by Raymond Chabot Grant Thorton which recommended that the airport become a division of Cornwall’s economic development department, with SDG municipalities participating. SDG later accepted the idea, which would see the airport’s future taxi back to the council’s hangar in Cornwall.

For many councillors, hub cities or not, Cornwall did not get enough bang for the buck for the airport and this was on the council’s radar during the mid-winter 2024 budget deliberations. A deep dive into the topic coming into session final when sSeveral people at the table were clear about their desire to ground what was long-term city funding for the airport, but Fleury cautions that the relationship with the airport is complicated and nuanced.

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Fleury pointed out in early 2024 that the relationship with the facility and municipal partners involves the asset side and an operational relationship through the airport commission. A board motion in 2021, he explained, was to get out of the airport business, on the asset side, but less on the operational side.

Also at the January 31 meeting, MacDonald, expressing what appeared to be a majority opinion at the table, said 2024 “it should be the last year (for funding), the year we end this charade – the airport represents (decades) of bad (city) business to me.

Financial services general manager and treasurer Tracey Bailey noted that during budget negotiations, council directed the city to exit the airport business in 2021, a move that would involve legal work and discussions with South Glengarry. Bailey said there is no termination clause in the existing agreements, so the city would have to weigh the impact of not honoring the agreement, that the work was done when Cornwall left following the 2021 motion and that the city was contiintending to work with South Glengarry on next steps.

Cornwall has had an airport agreement for 40 years, dating back to 1984; the city pays 85 percent of operating costs, which have been $110,000 for each of the past three years. Cornwall was also 85% equity funded – just under $900,000 in total.

Funding goes to the airport commission, a joint board of both city councils. That commission uses it to fund the contract for airport operations with Cornwall Aviation.

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